Virginia-based Ethos Technologies, a life insurance technology company backed by top venture capital firms, has raised about $200 million after completing its initial public offering in the United States, as the insurance platform debuts on public markets.
The company and some of its existing shareholders sold 10.5 million shares priced at $19 each, which sits at the midpoint of Ethos’ proposed range of $18 to $20 per share. Based on shares outstanding listed in its prospectus, the IPO values Ethos at roughly $1.2 billion.
Ethos has also posted strong growth. Revenue climbed around 47% to $277.5 million in the nine months finished September 30, up from $188.4 million a year earlier.
Since launching, the company has supported activate more than 500,000 life insurance policies. As of the finish of September, it worked with over 10,000 active agents and several insurance carriers on its platform.
Democratising life insurance
Founded in 2016 by Peter Colis and Lingke Wang, Ethos has built a digital platform that builds it simpler for families across the United States to acquire life insurance online.
The company works with insurance partners to simplify policy distribution, underwriting, payments, and administration through technology rather than traditional, paper-heavy processes.
The company’s platform focutilizes on speed and convenience, supporting customers apply for life insurance without extensive medical exams or lengthy forms. This tech-driven approach has supported the company expand its customer base and attract long-term investor interest.
Ethos has drawn support from major venture investors over the years. Its backers include Sequoia Capital, Accel, GV (Alphabet’s venture arm), SoftBank, and General Catalyst, among others. Some of these investors are selling shares in the IPO, while others are holding on to their positions.
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